2. Who was the economist who laid the foundations for classical economics? a. Jo

Question

2. Who was the economist who laid the foundations for classical economics?

a. John Locke

b. David Ricardo

c. John Maynard Keynes

3. Classical economists believed
I. there could be temporary periods of unemployment.
II. emphasis should be placed on the long run, and in the long run all would be set right
because of the smooth functioning of the price system.
III. the Great Depression would be a short-run aberration.

a. I and II only

b. I only

c. I, II, and III

4. John Maynard Keynes argued that _______

a. flexibility in wages and prices could block adjustments to full employment.

b. wage and price rigidities were caused by producer and consumer expectations about future prices.

c. stickiness in wages and prices could block adjustments to full employment.

Explanation / Answer

2. The right answer is option b. David Ricardo,

Explanation: British political economist David Ricardo is said to have laid the foundations for classical economics. Other prominent classical economists include Thomas Malthus, Adam Smith, and James Mill.

Related Questions

Navigate

• Browse (All)
• Browse 2
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.